GCIL secures OGDCL gas processing contract

June 30, 2026(MLN): Ghani Chemical Industries Limited (PSX: GCIL) has secured Tender No. 308606791 from Oil & Gas Development Company Limited (OGDCL) for the development and processing of natural gas from the Sono Lashari Field.

Under the contract, OGDCL will allocate a designated quota of raw natural gas from the field to the company for processing into value-added hydrocarbon products, including Compressed Natural Gas (CNG), Liquefied Petroleum Gas (LPG), and associated hydrocarbon condensates, in line with the agreed technical specifications and contractual arrangements.

The contract has been awarded for a period of five years.

Project implementation will commence following completion of the required engineering, procurement, regulatory and site mobilization activities.

Commercial operations are currently expected to begin during the first quarter of 2027, subject to timely completion of all necessary formalities and approvals.

The project may be implemented either directly by the company or through an appropriate group entity, depending on operational, commercial and regulatory considerations, without affecting the company's rights and obligations under the awarded contract.

Based on the current technical configuration and prevailing market conditions, the project has the potential to generate indicative annual revenues of approximately Rs1.5bn to Rs2.0bn upon commencement of commercial operations.

The estimate remains preliminary and is subject to factors including actual gas allocation and availability, product mix, market prices, plant performance and other relevant conditions.

The project is expected to establish an additional recurring revenue stream over the five-year contract term, while its financial impact will commence upon the start of commercial operations.

The aforementioned information was disseminated through a notification to Exchange.

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